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ROLE OF SPINNING CO-OPERATIVE IN

POLITICS OF MAHARASHTRA .

AZAM RAIYANA MOHD. IMRAN

POLITICAL . SCIENCE

PAPER-6

ROLLNO:25

T.Y.B.A.

2018-2019

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CONTENTS
SR.NO PARTICULAR PG.NO
1. Introduction 3-4

2. History 5-7

3. Objectives 8

4. Methodology 9

5. Literature Review 10-12

6. The Progress of the Co-Operative Movement in Maharashtra 13-14

7. Co-Operative Movement in India 15-16

8. Co-Operative Spinning Mills in India 17-18

9. Co-Operative Spinning Mills in selected District. 19-30


A)Solapur
B)Sangli
C) Kolhapur

10. Co-Operative and Politics. 31

11. Evolution of the Co-Operatives Sector in Maharashtra 32

12. Conclusion 34

13. References 36

14. Research paper 37

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INTRODUCTION
The origin of co-operative movement in Maharashtra State (old Bombay province) dates back to
1882 when the first Urban cooperative bank (Anyonya Sahakari Mandali ) was established at
Baroda , “though phad system” in the Kolhapur was the from of an informal co-operative that
existed much prior to that. The movement was formally introduced through all India co-operative
societies Act 1904. The old Bombay province was considered as one of the leading states in co-
operative.

In India, out of total population 70 per cent of the population lives in rural areas. Majority of the
population depends on agricultural. Hence development of agriculture, agro-based industries,
employment generating activities, infrastructure facilities like roads, drinking water, water for
irrigating the crops, electricity, telephones, markets, etc. form part of the rural development.
After the independence, national policy of India reaffirmed their faith in the co-operative
movement as a vital instrument for economic development and as a vehicle of social change and
social justice.

Agriculture is the main dealing of the farmers in state of Maharashtra. But farmers have been
facing a number of socio-economic problems. Such as- lack of credit availability for small
farmers, persecution by moneylenders, inability to repay debts following crop loss, high interest
rate charged by the moneylenders, rising cost of the cultivation. However, the agriculture sector
has been witnessing low growth and productivity, non-remunerative prices for the produce, input
and output marketing constraints, institutional credit, insurance, infrastructure and investment.
These have resulted in poor performance of the sector in spite of healthy overall economic
growth.

As per the lines of the Central Government, Maharashtra Government has also identified the
importance of the co-operative movement as the best source through which to apply it for rural
development, people‟s empowerment and poverty alleviation programme. The basic nature of
the co-operative societies is to encourage the „values of self-help, democracy, equality, and
solidarity. Co-operative members believe in the ethical values of honesty, openness, and social
responsibility and caring for others. The movement was welcomed with great enthusiasm, the

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movement teaches the ordinary farmers, downtrodden community and landless laborers to live
with prestige and self-confidence. Co-operative movement helps in all round development of the
rural areas, which can possible through unity, trustworthiness and consistency of membership.
The government hopes that the revival is successful co-operative societies could well become the
biggest employer in the country and will create new employment opportunities for the people,
especially, in rural areas.

The co-operative movement in Maharashtra has played a significant role in the social and
economic development of the state particularly in the rural areas. Initially, this movement was
confined mainly to the fields of agricultural credit. Later it rapidly spread to other fields like
agro-processing, agro-marketing, rural industries, consumer stores, social services, etc. Progress
of co-operative movement in the last four decades showed increase more than four times. The
co-operatives in Maharashtra have a political, historical, social and cultural heritage. It is
particularly strong in Western Maharashtra as the independent movement and the leaders from
Pune, Mumbai and Ahmednagar initiated social reforms.

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HISTORY

Spinning is one of the most basic crafts. It has been discovered and improved upon over and
over again, each culture adapting it to best suit their needs. Spindle whorls (the round weight,
which, with the shaft, composes a spindle) have been found dating to Neolithic times. The
technology for spinning did not change until the development of the spinning wheel and flyer in
medieval times. For much of human history, all members of a society would have been involved
on some level with the production of textiles. The two most common methods used to prepare
wool for spinning are carding and combing.

Woolcombing, in fact, was the last process in wool production to be mechanized; this was not
possible until the mid 18th century. Wool-combing also is the older of the two processes;
carders seem to come into use in northern Europe sometime in the 13th century. Preparing fleece
by carding will produce a woolen yarn that is, a yarn that is relatively low twist, with a soft or
fuzzy finish, and that will felt easily. Combing, in which the fibers are prepared to be spun
parallel to each other as much as possible, produces worsted, a high twist, smooth yarn that
wears well and tends not to felt.

The industrial revolution took place in England and that too in textile industries. This had far
reaching impact upon all the industries. Our country is prominently though, and an agrarian
economy is much affected by the agricultural products. Cotton textile industry plays a very
prominent role in development of our nation. The organization of cotton textile industry is nearly
175 years old, with the first mill on modern lines have been set up in 1817.from small beginning
and against heavy odds it had phenomenon growths especially after the country gained
independence. The Indian cotton textile industry is one of the organized sectors of Indian
economy. Actually, 88% of labour is unorganized and 12% is organized. Most if not all
agricultural labour is organized. The first textile mill (Buckingham and Carnatic Mills) was
started at Bombay in 1854. This was also the mill that saw the first strike led by Sorabji Shapurji
Bengalee.

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Due to the overwhelming support given by Mother Nature to the growing of cotton, Maharashtra
and Gujarat hold top position in this industry. The first co-operative spinning mill was started by
Madras state handloom weavers federal co-operative societies. There are 164 registered co-
operative spinning mills in Maharashtra, of which 68 are functioning 32 in preliminary stages
and remaining is yet to start their beginning. There are 12 spinning mills in Kolhapur district.
The city of Ichalkaranji has been a textile hub for many years so the researcher has selected
cooperative spinning mills from Ichalkaranji city to conduct this pilot study. This choice was
relevant and representative at the same time. Since then the textile industry grew.

There were 131 spinning mills in the co-operative sector, 538 of which were in private sector and
118 in public sector by 1997. It replaced the handloom and brought into the fast moving
machinery. Naturally, the Indian textile industries begin to see the new changes. India was the
whole land of cotton fabric and has influenced the whole world. But the introduction of new
machinery in textile industry and the British patronage changed the whole face of India.

Once considered the hub of textile industry, cooperative spinning mills in the Ichalkaranji, in the
District of Kolhapur of Western Maharashtra are not doing well since the Datta Samant era when
textile mills were closed down across Western India i.e. 1980-85. Without looking at the
capacity to pay, wage demands escalated and without taking the futuristic view union ideology
triumphed over expediency. Working class consciousness rose but was not in consonance with
reality. Consequently they were forced to shut down their operations. This has a social, economic
and political cost which civil society has to bear in the absence of Unemployment Benefit
Scheme.

The first co-operative spinning mill was started by Madras state handloom weavers federal co-
operative societies. Another co-operative spinning was registered in the state of Madras with
objectives of the providing employment mainly to Indians repatriates from Srilanka and Burma.
Ichalkaranji and other neighboring regions also fell in the line with India‟s textile industries and
integrated textile mills saw the lights of day here. There were 164 registered co-operative
spinning mills in Maharashtra, of which 68 are functioning 32 in preliminary stages and
remaining is yet to start their beginning. There are 12 spinning mills in Kolhapur district.

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The city of Ichalkaranji has been a textile hub for many years. The natural climate of Ichalkaranji
is conductive to the textile manufacturing process. Even though the composition textile mills and
spinning mills have been making a good business in the past they are not doing well for the last
decade or so. These power units also are going for modernization and quality improvement.
Industrial organization is a gigantic structure, which is supported by four „Ms‟. Man, Machine,
Material, Money.

The co-operative movement in Kolhapur is back bone of the economic development of the
district. This is the only movement which has touched every field. The stalwarts like Mr.
Ratnappa Kumbhar, Mr. Tatyasaheb Kore, Late Dattajirao Kadam, Dadasaheb Patil Kaulavkar,
D.C.Narake and several others have laid the foundation of this movement. The co-operative
spinning mills have raised the living standard of farmers and workers working in it. The district
has made progress mainly through the co-operative movement. In September 1906 the Late Chh.
Shahu Maharaj laid the foundation stone of Shahu Chhatrapati Spinning mills which was a
begging of industrialisation in Kolhapur.

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OBJECTIVES

 To examine the progress of the co-operative movement in Maharashtra.

 To examine the co-operative spinning mills in India.

 To study the relation between the co-operation and politics..

 To study the evolution of cooperative sector in Maharashtra.

 To take a brief review of progress of cooperative spinning mills in Maharashtra .

 To understand the problems of spinning mills.

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METHODOLOGY

Secondary method of data collection has been used for this project. I have referred numerous
books , website, , books, research paper and PDF for the collection of information .

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LITREATURE REVIEW

B. Sawant ,et.al, (2012), “People Management Practices At Ichalkaranji Spinning Mills: An

Investigative Study” , analyzed that Spinning is one of the most basic crafts. The co-operative
textile sector has played a commendable role in the upliftment of small and marginal cotton
farmers and the weavers belonging to the weaker sections besides the jute growers, Seri
culturists and the coir workers. The weaving co-operatives have been instrumental in providing a
source of livelihood to a large number of people most of which belong to the weaker segment.
These mills/units, a majority of which are located in the rural areas, have brought about a
significant socio-economic transformation in the area of its operation. This transformation took
the shape of better civic infrastructure and a noticeable improvement in the quality of life. Our
country is prominently though, and an agrarian economy is much affected by the agricultural
products. Cotton textile industry plays a very prominent role in development of our nation. The
organization of cotton textile industry is nearly 175 years old, with the first mill on modern lines
have been set up in 1817.from small beginning and against heavy odds it had phenomenon
growths especially after the country gained independence. The Indian cotton textile industry is
one of the organized sectors of Indian economy. Actually, 88% of labour is unorganized and
12% is organized. Most if not all agricultural labour is organized. The first textile mill was
started at Bombay in 1854. The first co-operative spinning mill was started by Madras state
handloom weavers federal co-operative societies. There are 164 registered co-operative spinning
mills in Maharashtra, of which 68 are functioning 32 in preliminary stages and remaining is yet
to start their beginning. There are 12 spinning mills in Kolhapur district. The co-operative
movement in Kolhapur is back bone of the economic development of the district. This is the only
movement which has touched every field. The city of Ichalkaranji has been a textile hub for
many years. The natural climate of Ichalkaranji is conductive to the textile manufacturing
process. Even though the composition textile mills and spinning mills have been making a good
business in the past they are not doing well for the last decade or so. These power units also are
going for modernization and quality improvement. Industrial organization is a gigantic structure,
which is supported by four „Ms‟. Man, Machine, Material, Money.

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Prof. M. A. Lokhande, (2007), “A Critical Study Of Co-Operative Spinning Mills”, suggested
that the Co-operatives have been instrumental in initiating socio-economic changes in rural
India. Cotton is one of the major cash crops grown on large scale in India. Maharashtra is a
leading state in cotton production and cotton processing enterprises, particularly co-operative
cotton processing units viz. ginning and pressing, spinning and weaving mills, handlooms, power
looms and textile mills. The significant role of co-operative spinning mills in rural development,
future action plan should be rehabilitation and revitalization of loss making units. In order to
enhance operational efficiency of spinning mills, application of quality management techniques.
Cooperative manufacturing industries i.e. sugar mills, oil mills, ginning and pressing mills,
spinning mills etc. have brought revolutionary changes in rural areas as they are responsible for
confidence building among the farmers, modernization of agriculture, enhancing the income
levels and standard of living of the farmers. Cotton processing unit‟s viz., ginning and pressing,
spinning and weaving mills. Handlooms and power looms have a great scope for development in
Maharashtra because of availability of raw material, conducive policy of the state government
and financial and marketing assistance by cooperative societies. Jalna co-operative Spinning Mill
(JCSM) was set up in the year 1980. However, it could start its commercial production in the
year 1988-89. In order to evaluate the performance of JCSM, the data was extracted from
financial statements relating to 10 years period i.e. 1989-90 to 1998-99 and analyzed. As it is
evident from analysis, only 23% of the aggregate 191 co-operative spinning mills were in
operation and 35.60% were loss making spinning mills in Maharashtra. In order to arrest the
sickness of co-operative spinning mills, there is need of efficient and effective management of
resources. On the other hand, the ailing spinning mills should be taken care of by way of
providing additional finance at soft interest rate. Revitalization of co-operative cotton processing
units is need of the hour to help a large number of farmers growing cotton as cash crop on one
side and to support handloom and power loom sector on the other hand. Most of the co-operative
spinning mills lack trained and expert manpower in the areas of production, finance and
marketing. There should be effective coordination among ginning & pressing units, spinning and
weaving mills and textile mills. The significant role of co-operative spinning mills in rural
development, future plan should be timely rehabilitation and revitalization of loss making units.

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A.Patne,(2018),“Government of Maharashtra Co-operation, Marketing and Textile
Department”, analyzed that Maharashtra State, covering the western and central parts of the
country, is blessed with a 720km long coastal line of the Arabian Sea. Many leading corporates and
financial institutions have established their headquarters in Mumbai, which is the capital of the State
and also the commercial capital of the country. The leading stock market, the capital market and
commodity exchange centers of India are situated in Mumbai. The State has 36 districts, divided into
six revenue divisions, viz. Mumbai, Nashik, Pune, Aurangabad, Amravati and Nagpur. Agriculture is
the main occupation in Maharashtra. Both, food as well as cash crops are cultivated in the State.
The textile sector plays an important role in the national economy owing to its major contribution to
the GDP, industrial production, employment generation and export revenue generation. The textile
industry is one of the leading employment generating industries in the country, employing
approximately 5 crore people. The Indian textile industry has the second largest industrial capacity in
the world. The textile industry plays an important role in the State‟s economy. It is the second
largest employment generating sector after agriculture. There has been a sizeable increase in the
ginning, spinning and weaving industry in the State. The State produces ample quantity of silk in
addition to cotton. Sericulture and silk processing industry is an important agriculture and forest
based employment generating sector. A farmer can generate an income of approximately Rs. 8 Lakh
per Ha in this sector. Maharashtra is the leading non-traditional silk producing State in the country.
The policy for the development of the State‟s handloom sector, wherein the State Government‟s
share of fund to centrally sponsored schemes and supplementary schemes is made available as and
when required, will be continued. There is an increasing demand for the handloom products in the
domestic as well as international market. The State Government will develop new schemes for
design of handloom products, fusion, etc. in collaboration with NIFT to cater to this increasing
demand and to attract young weavers. The silk industry can provide the rural population a guaranteed
source of income and thus can prevent rural migration to cities. The silk industry is a boon for
farmers affected by unpredictable weather and can help them generate regular income. The State
annually produces approximately 1400 MT wool per year from the Deccani sheep. However less
than 1% wool is procured by the Punyashloka Ahilyadevi Maharashtra Mendhi va Sheli Vikas
Mahamandal. There is no other infrastructure for processing, production and marketing of the wool
in the State. Despite the large production of Deccani wool and increased demand in the domestic and
international markets, the large sheep rearing community is deprived of the financial benefits due to
non-availability of value added processing within the State.

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THE PROGRESS OF THE CO-OPERATIVE MOVEMENT IN
MAHARASHTRA
The progress of Co-operative Spinning Mills in Maharashtra from 1961 to 2007. Number of
factories registered increased from 2 to 174 during 1961 to 2007 even the growth rate was
uneven. Mills in production also increased from 15 to 54. Membership increased from 300 to
710700 during the same period; therefore, growth rate was uneven.

Share capital increased from Rs.6 lack to Rs.100897 during 1961 to 2007 of which government
participation was Rs.595 lack in 1971 increased up to Rs.79119 lack in 2007, growth rate was
fine but uneven while it was negative in 2007.

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Owned funds increased from Rs.7 lack to Rs.137770 lack, borrowing outstanding increased from
Rs.5 lack to Rs.98260 lack and working capital increased from Rs.12 lack to Rs.227163 lack
during 1961 to 2007.

Therefore, owned funds, borrowing and working capital shown a fluctuating trend over the
period. Number of spindles installed increased from 42 to 11400 during 1961 to 2007 but growth
rate was uneven. Number of mills in profit increased from 2 to 32 and amount of profit is
increased from Rs.19 lack to Rs.948 lack even growth rate of numbers and amount of profit was
not even and negative in 2006 and 2007.

Mills in loss increased from 19 to 948 and loss is increased from Rs.184 lack to Rs.14108 lack
during 1971 to 2007 but growth rate showed a fluctuating trend in numbers and amount of loss
also fluctuated and was negative for last two years 2006 and 2007.

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CO-OPERATIVE MOVEMENT IN INDIA

Co-operative movement in India has been associated with freedom struggle as its founding father
such as Shree Vaikunthbhai Mehata were in search of new approaches to economic freedom
immediately after the achievement of freedom in late 40s of last millennium. Since 1950s, the
co-operatives in India have made remarkable progress in the various segments of Indian
economy. During the last century, the cooperative movement has entered various sectors like
credit, banking, production, processing, marketing, housing, warehousing, irrigation, transport,
textiles and even industries. In fact, dairy and sugar co-operatives have made India a „Major
Nation’ in the world with regard to „milk‟ and „sugar‟ production.

Today, India can claim to have the largest network of co-operatives in the world numbering
more than half a million, with a membership of more than 200 million. Of the village level co-
operatives, around 28 percent with 137 million memberships are agricultural cooperatives,
dealing directly or indirectly with agricultural sector. The co-operative network in the country is
rather strong covering all the villages in the country and more than 67 percent of the households
have been brought under the co-operative hold. Cooperatives supply about 46 percent of the total
rural credit(including agricultural credit), account for 36 percent of the total distribution of
fertilizers, produce about 55 percent of the total sugar and constitute for 28 percent of the rural
fair shops. Though; co-operative movement has made remarkable progress in several areas.

After independence, India embarked upon the path of centralized planning in the successive five-
year plans. The rural credit system in India has recorded a reasonable growth since all India
Rural Survey Committee Report 1954.Co-operatives in India are performing under two broad
categories i.e. existing areas and emerging areas. The existing area covers credit, input supply,
marketing, agro processing, consumer goods and housing. The emerging areas cover many new
areas like power generation, production of supplementary fuels, insurance and service sectors.
In the year 1919, co-operation became the state subject under Montague Chelmsford reforms.

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These reforms conferred lawmaking powers on the provinces. The Government of India Act,
1935 reconfirmed the 1912 act and included co-operative under the State list. Since then and
after Independence every State enacted its own co-operative law to take care of its own
requirements and situations.Maharashtra is leading in all the states in various co-operative
sectors like productive, process, marketing, banking and housing co-operatives also. Co-
operatives have lot of achievements to their credit in bringing about socio-economic
improvements in various sectors of Indian economy.

Their contribution in helping weaker and down trodden sections of society is well known. In
fact, certain sectors like credit, fertilizers, sugar and diary have become an engine of socio-
economic growth in our country. Several co-operative brands have successfully carved out a
competitive edge not only in India but also in the foreign markets.

Keeping in view is achievements of cooperative sector, under the National Policy on Co-
operatives and with the enactment of Multi-State Co-operative Societies Act 2002; co-operatives
have been a recognized as a preferred instrument for execution of public policy particularly in
the rural areas. In co-operative sector in Maharashtra there is primary agricultural credit co-
operatives, non-agricultural credit co-operatives, marketing co-operatives, productive co-
operatives, sugar co-operatives, land development bank, state co-operative bank and DCC Banks
are leading more.

The various federal co-operatives at the state level are famous and at the national level also. It
has been developed quantitatively and qualitatively more, comparatively with the other state.
Maharashtra is leading in all the states in various co-operative sectors like productive, process,
marketing, banking and housing co-operatives also.

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CO-OPERATIVE SPINNING MILLS IN INDIA

Textile Industry in India is the second largest employment generator after agriculture. It holds
significant status in India as it provides one of the most fundamental necessities of the people.
Textile industry was one of the earliest industries to come into existence in India and it accounts
for more than 30% of the total exports. In fact Indian textile industry is the second largest in the
world, second only to China.

Textile Industry is unique in the terms that it is an independent industry, from the basic
requirement of raw materials to the final products, with huge value-addition at every stage of
processing. Textile industry in India has vast potential for creation of employment opportunities
in the agricultural, industrial, organized and decentralized sectors and rural and urban areas,
particularly for women and the disadvantaged.

Indian textile industry is constituted of the following segments: Readymade Garments, Cotton
Textiles including Handlooms, Man-made Textiles, Silk Textiles, Woolen Textiles, Handicrafts,
Coir, and Jute.

Till the year 1985, development of textile sector in India took place in terms of general policies.
In 1985, for the first time the importance of textile sector was recognized and a separate policy
statement was announced with regard to development of textile sector. In the year 2000, National
Textile Policy was announced.

Its main objective was: to provide cloth of acceptable quality at reasonable prices for the vast
majority of the population of the country, to increasingly contribute to the provision of
sustainable employment and the economic growth of the nation; and to compete with confidence
for an increasing share of the global market.

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Strengths of Indian textile Industry
India has rich resources of raw materials of textile industry. It is one of the largest
producers of cotton in the world and is also rich in resources of fibers like polyester, silk,
viscose etc.

India is rich in highly trained manpower. The country has a huge advantage due to lower
wage rates. Because of low labour rates the manufacturing cost in textile automatically
comes down to very reasonable rates.

India is highly competitive in spinning sector and has presence in almost all processes of
the value chain.

Indian garment industry is very diverse in size, manufacturing facility, type of apparel
produced, quantity and quality of output, cost, requirement for fabric etc. It comprises
suppliers of ready-made garments for both, domestic or export markets.

Weaknesses of Indian textile Industry


Indian textile industry is highly fragmented in industry structure, and is led by small scale
companies. The reservation of production for very small companies that was imposed
with the intention to help out small scale companies across the country, led substantial
fragmentation that distorted the competitiveness of industry. Smaller companies do not
have the fiscal resources to enhance technology or invest in the high-end engineering of
processes. Hence they lose in productivity.
Indian labour laws are relatively unfavorable to the trades and there is an urgent need for
labour reforms in India.

India seriously lacks in trade pact memberships, which leads to restricted access to the
other major markets.

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CO-OPERATIVE SPINNING MILLS IN SELECTED DISTRICT.

SOLAPUR DISTRICT

 Shetkari Sahakari Soot Girni.


Sangola is a rain shadow draught prone area of Solapur district. This town was lagging in for
small or big industry. The land was also not fertile. There was a problem of water storage, so
agriculture was also difficult. On this situation, the people were unable to earn their livelihood.
With this kind of background the people of Sangola thought of string a spinning mill under co-
operative banner. For this purpose a society was formed.

On 28th January 1980, the „Shetkati Sahakari Soot Girni Limited Govt. registered under,,
Maharashtra state co-operative society Act‟ bearing registration number SUR/PRG (A)/7. The
area of operation of the society includes Taluka‟s of Sangola, Mangalweda, Pandharpur, and
Malshiras of Solapur district. The construction of the building was started in 1982 and was
completed in 1984. Actual production of the mill started from 14th September 1984. The project
report of this mill was prepared by ,“All India Federation of Co-operative Spinning Mills limited,
Mumbai”. The mill building is comparatively different from normal mill buildings, first time in
the history of Textiles Mills; the sip pre-fabricated stabs were used for the roofs. This has given
good results in productions and for other parameters.

All the machinery from blow room to ring frame were purchased from models manufactured by
M/s. Laxmi machines works Cohimatur. The machinery selection was also done judiciously to
see that most modern technology is adopted for the first time in Maharashtra. The mill through of
installing the Modern Ginning plant managed to give still more remuneration to the cotton
growing members and to grant employment. So mill has taken active step in act prepared to
install modern Gins in its premises and make it integral part of its spinning activity to get graded
and better ginned cotton. So that it coated further improve the quality of yarn particularly for
export market. In the year 2001-02 the ginning machinery was started in the premises of the mill.
From the beginning the mill had taken keen interest to produce quality yarn which will suit for
National and International consumption. It has made its name for quality in India as well as in

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foreign market. As the yarn market is always fluctuating the management studies the yarn
judiciously and revises the rate on day-to-day basis. The yarn which is produced has its market in
Solapur, Malegaon, Bhiwandi, Ichalkaranji, Mumbai, Tripur, Sirsilla etc. the mill also export its
products to the countries like Mauritins, South Korea, Japan, Hong Kong and Malaysia etc.
The mill today is known for introducing the state of the art technology and methodology to
Indian spinning, weaving and knitting, processing and finishing industry. The mill manufactures
6500 Kgs of high quality knitted fabrics every day. To supply these high quality standards, it has
installed the world‟s most sophisticated and comprehensive production lines. These are
accompanied by the best in raw materials.

The requirements of the customers were studied and projected towards their satisfaction;
ultimately it reached to a stage where the quality standards have been accepted by multinational
chain shops like Wal-Mart, Dockers, Mother Care, Merwins, Gap and many more. The
customers (Garment Exporters) of the mill had highlighted the mill as a business partner to all
these big players who cover majority of garments business in Europe and USA. Since last two
months the mill had several meetings with Wal-Mart officials and their garments produced is
promoting them as nominated supplier to them especially for Wal-Mart. Wal-Mart fabric
Sourcing manager had visited to the plant for future developments. The order flow is increased
from these garments importers and the time has come for expansion.

 Shri Swami Samarth Shetkari wa Vinkari Sahakari soot Girni Niyamit .

Solapur district is known as drought area in the “Maharashtra” state, particularly south Solapur
and Akkalkot Taluka are dry area in this district and thus economically backward. Solapur city is
known as the centre for weaving in India and it is very famous for cotton and textile mills. For
the last so many years Valsang, Maindargi, Karajgi, Nagansur, and Udadari village of the
Akkalkot and south Solapur were considered as the centre of skilled weavers. 85% of weavers of
Solapur districts belong to both the Taluka. But the community has been migrating to Bhivandi,
Malegaon and Ichalkaranji as there was no work available for these weavers.

Considering the problems of both the Taluka‟s and to remove the unemployment problem, under
the guidance of Mr. V.G.SHIVDARE, Ex – MLA decided to start the spinning mill Shri Swami

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Samarth Shetkari Wa Vinkari Sahakari Soot Girani Niyamit at Valsang in the year of 1979. It
was very difficult to collect the shares but the enthusiasm of the people and kind help from
Shriman APPASAHEB KADADI, Ex – MP helped a lot to overcome upon the problems.
Resultantly on 14th November 1979 this mill was registered under the co-operative act. In the
year 1982 Maharashtra Government sanctioned the shares 1:9 percent and accordingly the orders
were placed for the machinery required. The construction of the factory was started at Valsang.
The farmers of various villages of south Solapur and Akkalkot have helped a lot to start the mill,
construction of building as well as installation of machinery was completed simultaneously in
the year of 1983 and the production was started in the June 1984.

 Sharada Yantramarg Vinkar Sahakari Soot Girni Niyamit .

Sharada co operative spinning mill at Kumbhari was registered in 28-08-1990 by the


Maharashtra Co-operative Institute Act 1960. Former Mayor of Solapur Mr. Janardhan
Karampuri and Former M.P. Mr. Dharamanna Sadul had played a significant role in establishing
this mill. The mill was established in the year 1990 and started functioning from 8th Oct 93 on
an investment of Rs. 2728.00 lacks.

The actual project was of installing 25000 spindles but due to insufficient funds, they had
installed 12,480 spindles in the mill. Initially the project was of Rs. 2403.00 lacks and in 1995
total capacity employed increased to Rs. 2728.00 lacks.The mill is located at Kumbhari in south
Solapur. The Sharada Co-operative spinning mill is aimed at fulfilling the yarn demand of local
Towel and Chaddar manufacturing Textile Units. Sharada Co-operative spinning mill the yarn
counts 18sk and 20sk.. With a good experience in spinning mill. So, they established Sharada co-
operative spinning mills which produces the yarn of 18sk and 20sk to fulfill the demands of their
local Towel and Chaddar manufacturing textile units and to contribute to the potential yarn
market to Solapur. But this mill is now running on conversion basis. They had taken vigorous
step to reach to this stage and now are becoming to fulfill their required quantities; hence they
are planning to increase their capacity by 150 %. In this competitive market they have taken
various steps to reduce the cost.

ROYAL COLLEGE OF ARTS –POLITICAL SCIENCE 21


As they are committed to environment friendly process, they are using agro based fuel which
takes care of air pollution. Beside this the cost of energy is reduced as their surrounding area is
full of bagasse. Sharada Co-operative spinning mill is located in a village named Kumbhari in
south Solapur. The plant is located in an area of 32 acres capacity of this mill is 12800 spindles.
Spinning mill always count as spindle installed. This mill having main spinning building
(factory) Main office, yarn godown, cotton godown, waste godown, etc.

Reasons for selecting this location:


1) The village Kumbhari is near the city Solapur. Solapur city is a potential market of yarn as the
city is famous for textiles.

2) Availability of labour is easy and cheap

3) The plant is located at the side of the national Highway which further connects different routes
of Solapur. Thus, transport facility is easily available.

4) To avoid the centralization of the spinning mill in the same place of Solapur.
5) To provide and promote rural development.

6) The water supply and electric supply are adequate and easily available.

Sharada co-operative spinning mill produces yarn to fulfill the needs of the local towel and
Chaddar manufacturing unit to cater the need of local market. The mill produce yarn, the raw
material is cotton to produce the requirement count of the yarn. It purchases the cotton from MH
cotton federation as well as from states near around Maharashtra state example: Karnataka,
Andhra Pradesh, Punjab, Rajasthan, etc. The main product manufactured. By the mill is yarn.
The different counts of single yarn and double yarn to meet the specific uses can be considered
as the types of products.

SANGLI DISTRICT
 Khanapur Taluka Sahakari Soot Girni Ltd.

The main source of income of this taluka is from agriculture. There are no industries in this
taluka so the problem of unemployment was a major. So to solve the problem of unemployment

ROYAL COLLEGE OF ARTS –POLITICAL SCIENCE 22


Late Shahajibapu Patil registered a mill in the name of Khanapur Taluka Sahakari Soot Girni
Ltd, in 1974, its foundation stone was laid down in January 1990 and the actual production was
started in June 1992. This is the only mill in Khanapur taluka.

The mill is acquired in 74 acres of land. The total project cost of the unit was Rs.10.35 lakhs
with 792 roters. The total daily production is 4000kgs. The banker of the mill is Sangli District
Co-operative Bank. This unit is formed by 4108 shareholders out of which 15 Board of Directors
are elected which will look into day to day administration of the mill.

It is a unit which produces yarn from cotton. The mill has complete indigenous machinery of
Laxmi Machines Works Ltd., Coimbatore from Blow Room to Ring Frame. In winding the mill
have imported latest Germany Schlafhorst 338 Autoconer machines to compute and stand in
international market for yarn quality. Also the mill has Imported Laboratory Equipments of Uster
Technology India Pvt Ltd., Switchzerland. The mill used to export its products for first 10 yrs to
Hong-Kong, China, Malaysia and Switzerland but now the mill sells its products in the local
market.

 Sagereshwar Sahakari Soot Girni Ltd .


The society in the name of Sagareshwar Sahakari Soot Girni Maryadit is registered on 18 th December
1990, under co-operative Societies Act 1960 of Government of Maharashtra for setting up of a
spinning mill. The society has been organized and promoted by Hon. Dr. Patangrao Kadam who is
the distinguished personality, Minister for Revenue, Maharashtra and founder of Bharati Vidyapeeth,
and chancellor of Bharati Vidyapeeth Deemed University which is well known reputed educational
organisational at National and State level with its branches in abroad. This mill is successfully
running under chairmanship of Hon. Shantaran Kadam.

Hon. Dr. Patangrao Kadam promoted the co-operative spinning mill project, co-operative sugar
factory, co-operative poultry, dairy project, Bharati Sahakari Bank (scheduled bank), Bharati
Sahakari Grahak Bhandar, co-generation plant, distillery wind mill project, Hydro power project,
wineries, and co-operative marketing societies are working under his leadership and guidance so as
to achieve desire gains. The area of operation of these societies is Sangli and Satara districts as this
area needs industrial development. The main source of income of this rural area is from agriculture.

ROYAL COLLEGE OF ARTS –POLITICAL SCIENCE 23


State Government has selected this mill for inclusion in the VIIIth Five Year Plan as per G.R dated
11th August 1993 and also agreed to participate in the equity in the ratio of 1:9.

This society has been organized by the farmer members and so for collected around Rs.2.42
crores shares capital from 6309 members and State Govt. contributed Rs.21.70 crores against its
participation. Mill has already acquired 40 acres of land. The proposed project of 25200 spindles
is working with full capacity in three shifts. This mill has provided an employment opportunity
to 595 unemployed youngsters in the area of operation. There will be industrial growth in nearby
area due to establishment of small scale industries surviving on a spinning mill. Kadegaon taluka
in Sangli District which is declared as a Textile park which is eligible for Central and State
Government subsidies for Textile Mill which is exporting 50% of yarn, which will help to get
foreign currency to our country.

So, now the farmers of this area will cultivate the cotton in their farms to get good price for their
crops as the cotton is a raw material of spinning mills. The spinning mill is economically viable
since the quality produced of the yarn is superior in view of latest model, machinery as well the
mill is getting premium on yarn price. The mill has complete indigenous machinery of Laxmi
Machines Works Ltd., Coimbatore from Blow Room to Ring Frame.

In winding the mill has imported latest Germany Schlafhorst 338 Autoconer machines to
compute and stand in international market for yarn quality. Also the mill has Imported
Labouratory Equipments of Uster Technology India Pvt Lts., Switchzerland. The mill purchases
the cotton from Maharashtra, M.P, Gujrat, Karnataka and Andhra Pradesh states. Now the mill is
planning to implement cotton development scheme of N.C.D.C New Delhi. Also planning to
establish own ginning and pressing unit.

 Krishna Verla Sahakari Soot Girni Ltd.

The society in the name of Krishna Verla Sahakari Soot Girni Maryadit is registered on 18th
December 1990, under co-operative Societies Act 1960 of Government of Maharashtra for
setting up of a spinning mill. The foundation stone was laid in the year 2004 and the actual
production was started on 21st Oct 2007.

ROYAL COLLEGE OF ARTS –POLITICAL SCIENCE 24


The society has been organized and promoted by Hon. Dr. Patangrao Kadam who is the
distinguished personality, Minister for Revenue, Maharashtra and founder of Bharati
Vidyapeeth, and chancellor of Bharati Vidyapeeth Deemed University which is well known
reputed educational organisational at National and State level with its branches in abroad. This
mill is successfully running under chairmanship of Prof. Balaseheb Gotpagar.

Hon. Dr. Patangrao Kadam promoted the co-operative spinning mill project, co-operative sugar
factory, co-operative poultry, dairy project, Bharati Sahakari Bank (scheduled bank), Bharati
Sahakari Grahak Bhandar, co-generation plant, distillery wind mill project, Hydro power project,
wineries, and co-operative marketing societies are working under his leadership and guidance so
as to achieve desire gains. The area of operation of these societies is Sangli and Satara districts as
this area needs industrial development.

The main source of income of this rural area is from agriculture. State Government has selected
this mill for inclusion in the Xth Five Year Plan as per G.R dated 13th June 2002 and also agreed
to participate in the equity in the ratio of 1:9.

This society has been organized by the farmer members and so for collected around Rs.2.64
crores shares capital from 2467 members and State Govt. contributed Rs.23.76 crores against its
participation. Mill has already acquired 40 acres of land. The proposed project of 25200 spindles
is working with full capacity in three shifts. This mill has provided an employment opportunity
to 350 unemployed youngsters in the area of operation.

There will be industrial growth in nearby area due to establishment of small scale industries
surviving on a spinning mill. Kadegaon taluka in Sangli District which is declared as a Textile
park which is eligible for Central and State Government subsidies for Textile Mill which is
exporting 50% of yarn, which will help to get foreign currency to our country. So, now the
farmers of this area will cultivate the cotton in their farms to get good price for their crops as the
cotton is a raw material of spinning mills. The spinning mill is economically viable since

ROYAL COLLEGE OF ARTS –POLITICAL SCIENCE 25


thequality produced of the yarn is superior in view of latest model, machinery as well the mill is
getting premium on yarn price.

The mill has complete indigenous machinery of advance technology machines of Kirloskar
Toyota, Zincer Textile, and the mill has Tromac machine for its Blow Room . In winding the
mill had imported latest Germany Schlafhorst 338 Autoconer machines to compute and stand in
international market for yarn quality. Also the mill has Imported Labouratory Equipments of
Uster Technology India Pvt Lts., Switchzerland. The mill purchases the cotton from
Maharashtra, M.P, Gujrat, Karnataka and Andhra Pradesh states. Now the mill is planning to
implement cotton development scheme of N.C.D.C New Delhi. Also planning to establish own
ginning and pressing unit.

KOLHAPUR DISTRICT

 Nav Maharashtra co-operative spinning mill.

Nav Maharashtra Sahakari Soot Girni Ltd is the fourth spinning mill nearby Ichalkaranji which
was established under the leadership of Shri K.B. Awade. Nav Maharashtra is the first 100%
EOU in spinning sector in India. It is a prestigious unit of Ichalkaranji, established in co-
operative sector with the help of Government of Maharashtra. The mill has started its
commercial production in 1986 and has been exporting the cotton yarn to the esteemed buyers in
Italy, U.K., Belgium, Span, Turkey, Mauritius, Malaysia, Philippines, Hongkong, China,
Taiwan, S. Korea, Japan and Latin American countries.

The yarn manufactured is known by „NAVMA‟ brand. Due to changing global scenario, this
EOU has been DE-Bounded now and ready to cater its cotton yarn to local weavers and knitters
along with its export suppliers.

The mill is equipped with state of art technology machinery with 25920 spindles. Precisely, the
blow room and carding, comber speed frames are from Marzoli and company, Italy and Trumac
Trutzschler, contamination clearer system of seiger. The draw frames are from LMW and Rieter,
Switzerland. The ring frames are from KTTM and winding machines of Schlafhorst 238 and

ROYAL COLLEGE OF ARTS –POLITICAL SCIENCE 26


Murata 21c, Japan along with siro clearers of loepfe, Switzerland. The mill has uster HVI 900
series and tensorapid tester from uster and PT-7000 eveness tester from premier to monitor the
quality of cotton yarn.

Nav Maharashtra as a successful co-operative organisation accepts social responsibility to


promote and to extend co-operation to educational, cultural, industrial etc. development activities
and programmes in the neighboring areas. Most of the workers come from nearby villages and
they naturally prefer to live at their own villages rather than to shift to the mill-colony. This is
mainly because they can help their families in agriculture cultivation or other supplementary
activities when not on duty in the mill so the mill has provided the facility of transportation to
their employees by having their own buses.

Atmosphere of the textile mill-especially that of a spinning unit is generally supposed to be fully
infested and polluted with dust, fluff and smoke, however Nav Maharashtra is an exception. It is
very clear from the adjoining lands that the site of this mill was originally barren, undulated and
rocky. However present environment is very pleasant mainly because of elegant garden which is
maintained by the mill.

 Datta Co-operative spinning mill.

The registration of this mill was done in the year 1979 on 29th of September by the founder Mr
Saipathrao Wadinge. But the foundation stone was laid in the year 1992 and the actual working
of the mill was started on 1st April 1993. At the beginning the mill used to produce cotton yarn
as it was open end project for which the mill has invested eight crores and there were 692 roters
installed. As Ichalkaranji comes in wet weather and in wet weather it is very difficult to get the
cotton at local market so the mill used to purchase the cotton from Marathawada. But now the
mill has stopped producing cotton yarn from 1st April 1997 and it has started producing Polister
Viscose (PVR). It also produces Polister plus Cotton (PCR).

The mill purchase the raw material from Reliance Industries for which reliance has its monopoly.
The market places for the mill to sell its goods are Malegaon, Bhivandi and Solapur Districts.

ROYAL COLLEGE OF ARTS –POLITICAL SCIENCE 27


For ring frame unit the mill has invested 15 crores and 12480 ring frames are installed. The mill
has acquired a land of 38 acres. Now the daily production is of 4 tons. The machineries are
purchased from Cohimatur from Laxmi machine works.

The total number of share holders is 2539 which includes Government. 16 Directors are elected
from the shareholders who look after the day to day working of the mill. The board of Directors
shall compete to delegate the power and duties of the Chairman, General Managers or any other
officer of the mill for the efficient management of the business of the mill.
Now the mill is planned to start a new project which costs Rs 36.69 crores which the mill has
already passed it to Government Co-operative Development Corporation which is a financing
institution.

 Shiroli Taluka sahakari soot Girni.

In modern fashion technology, the demand for perfection begins right at the birth of the raw
material, permeates through every single process, till the highly discerning customer dons the
finished yarn. It is this demand for perfection that has spurred the growth of an organisation and
its corporate philosophy.

Those who can furnish clients with the best quality, competitive price, and excellent customer
services and prompt delivery can only survive in the market. Shiroli taluka Spinning Mills
Limited takes immense pride in perceiving its role as the comprehensive architect of every single
yarn that its produces.

Shiroli taluka cooperative Spinning Mill was registered on 29th May 1993 by Late Ratnaapa
Kumbhar with a membership of 1892. The foundation stone was laid in the year 1995 but the
actual working was started in the month of Oct. 2008 with an initial capacity of 25,000 spindles.
The total cost of the project is Rs 56 crores. The mill has acquired a land of 25 acres. The cotton
yarns produced are of fine count which are equivalent to export quality but due to the cost of
transportation the mill sells it in Ichalkaranji market. The mill purchases its raw material from
Marathawada and Vidarbh. Among the members, 14 Board of Directors are elected.

ROYAL COLLEGE OF ARTS –POLITICAL SCIENCE 28


This mill also has a humidity plant (purchased Lotus, Ahmadabad) which controls the
temperature of the plant. The Blow Room Cardin machine is purchased from Trutzschler and
Trumac Ltd, India. The Drawframe is purchased from Taiwan and Switzerland, where speed
frame and ring frame are purchased from China and Kirloskar Toyata, India. The total manpower
of the mill is 114 and the quality/ gauge produced are 30 counts, 32 counts, and 34 counts
respectively.

 Indira Gandhi Mahila Co-operative Spinning Mills Ltd.

Ichalkaranji, a town in Kolhapur district popularly known as MANCHESTER OF


MAHARASHTRA is one of the most prominent centres of the decentralized textile industry of
the country. Today there are over 70,000 power looms, over 35 power process houses and 70
hand process houses in and around this town. With the advert of about 35 new spinning mills this
region has become a major centre for spinning mills.

Many of these spinning mills are3 100% export oriented units. Along with the textile industry
this town is also recognized for its co-operative movement. This is one of the few regions of the
country where the co-operative movement has taken deep roots and has entered in almost every
walk of the social life.

Indira Gandhi Mahila Co-operative Spinning Mills Ltd is a pioneering project in the field of co-
operative spinning mills in India. This is the first women‟s co-operative spinning mill of the
country. The unit is managed by a board of directors comprising of only women elected from
amongst 6000 women members of the mill. The mill has an installed capacity of 25,200 ring
frame spindles manufacturing 18 tons of high quality 100% cotton yarn every day.

The mill was commissioned in the year 1996. Right from the inception, this mill has
concentrated on production of high and consistent quality of 100% cotton yarn through
standardization of systems, continual training of personnel at various levels, and extensive
process control measures. As a result of these efforts a deep rooted culture of quality has been
evolved in every operation of the organisation.

ROYAL COLLEGE OF ARTS –POLITICAL SCIENCE 29


Though initially this project was aimed at manufacturing yarn for local as well as international
markets. However due to the success of the mill yarns in international market the mill voluntarily
opted to become a 100% export oriented unit. The mill strive to produce and supply best quality
100% cotton yarns using state of the art technology, carefully selected raw materials and
immaculate process control systems to suit individual needs of their esteemed customers.

The mill had achieved this through focused and dedicated efforts in the spirit of teamwork.The
mill had employed ultra modern machinery and state of the technology for manufacturing. The
plant and machineries are from reputed manufacturers like Lmw, Rieter, Trutzschler,
Schlafhorst, Ltg etc.

Quality management and consistent research and development are the basis of production of high
quality yarn. Recognizing the importance of these activities the mill has developed excellent
laboratory with most modern equipments for cotton and yarn testing. The mill has adopted
continuous improvement as their objective. The mill has installed a captive power plant with
furnace oil generator of 2.7 mw capacity. This ensures consistent, uninterrupted supply of good
quality electrical power.

Presently Human Resource Development is the soul of the TQM in a successful organisation.
The mill has well planned systematic training activities for all the personnel at different levels.
The mill also has well equipped training room facility. Outside experts are also invited to
participate in this activity.

The mill has started a well furnished office for marketing at Andheri, Mumbai with a view to
provide effective communication and interaction with their customers as well as for providing
effective after sales customer service. The office employees are the experts in the field of
marketing.

ROYAL COLLEGE OF ARTS –POLITICAL SCIENCE 30


CO-OPERATIVE AND POLITICS.

Co-operative institution , a venice of development of the weaker sections of the society and
avenue for construction work in the rural segment , has become highly politicized. To use the
paradigm used by Prof . Rajni Kothari (in the context of caste and politics )there is politicization
of cooperation and institutionalization of politics in the rural Maharashtra.

Shri C. Subramanium in his Report (1967)to the Congress Working Committee ,on Congress
organization in Maharashtra attributed the strength of the party in the state mainly to “the
constructive activities in the co-operatives field”. However , the emergence of the Panchayati Raj
and Co-operatives institutions in Rural Maharashtra is not an unmixed blessing.

Shri C . Subramanium reported that , “Below the district level , the formal organisational
structures –the district Congress has become virtually defunct after the formation of the Zilla
Parishads and the spread of the co-operative network”. As a matter of fact , three grass root
structures-the District Congress Committee , the Zilla Parishad and the District Central Co –
operative Bank- were monopolized by a handful of individuals; who also controlled the other co-
operative institution . Significantly these handful of leaders , or most of them , belonged to the
rich peasant class and the state level is controlled by the controlled by the Congress Party and , in
turn , the Congress Party is controlled by the class of co-operative capitalist , „the belonging to
the Maratha Caste .Such complete control of the political economy of the rural sector of the state
perhaps has no parallel in any other State of the Indian Union.

In retrospect , after five decades of intertwining of co-operatives and politics in Maharashtra one
can conclude without any hesitation that once vibrant co-operatives movement has been crippled
beyond redemption by its politicisation .On the other hand , the exchanger of Maharashtra in its
attempt to bail out the sinking co-operative sector . The inter–relationship has in retrospect ,
proved to be mutually harmful.

ROYAL COLLEGE OF ARTS –POLITICAL SCIENCE 31


EVOLUTION OF THE CO-OPERATIVES SECTOR IN MAHARASHTRA

Although the co-operatives sector has evolved since the enactment of the Co-operatives
Society‟s Act in (1904), and that the first co-operatives sugar factory was established by late
Vithalrao Vikhe Patil in 1949, the development of the co-operative sector as a significant
component of political economy is a development of post -1960 period . Late Yeshwantrao
Chavan , the First Chief Minister ,had envisaged all round development of the state by
developing agriculture , industries , co-operation and education . He sought to encourage the
latent forces of development by allowing the people in the rural areas to establish processing
units in the countryside on the co-operatives . He laid special emphasis upon the importance of
different co-operative credit societies and especially the credit co-operatives .Late Chavan
thought that the service co-operatives at the village level would prove to be the foundations of
co-operatives sector . He also believed that through the co-operative institutions , the popular
support for the development activities should be mobilised and by democratising these bodies , a
firm political base for the Congress party in the rural area could be established.

Maharashtra has the largest number of co-operative institutions in India . The encouragement
given by the successive governments in the last five decades has led to the proliferation of the
co-operatives sector in Maharashtra . The progress of the cooperative movement is indicated in
Table No: 5.1 given below.

Table No :5.1Progress of cooperative sector in Maharashtra

Criteria 1961 1971 1981 1991 2001 2010


Year
No .of coop instis. 31565 42603 80747 104620 158016 218320
No .of member (in lakh) 42 86 148 270 430 542
Share Capital (in crore) 53 238 600 1957 7560 15015
Deposit (in crore) 76 315 1939 11048 74462 128579
Working capital(in crore) 326 1490 5210 24713 134441 246162
Credit supply(in crore) 95 348 1116 6300 43392 78190
Source: Cooperative movement in Maharashtra at a glance; March 2010

ROYAL COLLEGE OF ARTS –POLITICAL SCIENCE 32


The above table indicates that the quantitative growth of the cooperatives sector in Maharashtra
is phenomenal . Inspite of this growth a large number of cooperative societies , banks and
factories are „sick units‟ and their closure seems imminent . A disturbance trend during the last
decade was the take over of the seek co-operative sugar factories by viable co-operative sugar
factories and or private enterprise . The number of privately owned sugar factories has increased
substantially . With the decision of the government of Indian to decontrol of the prices of sugar
in 2013 and the gradual removal of the protective umbrella ,there is danger of further slide of the
cooperative institution .Beside politicization of cooperative institution mismanagement , rampant
corruption and siphoning of funds by the cooperative capitalized have put the existence of once
vibrant cooperative sector in jeopardy.

The relationship between politics and co-operation is so intimate one cannot be separated from
other . This process enabled the Congress party in general and its leaders in particular to acquire
a permanent support base in the rural areas which is evident from the outcome of the election
held after 1960. The non-Congress Parties had made no serious efforts to acquire a base in
cooperative sector which accounts for their relative inadequacy in rural Maharashtra in general
and „sugar belt‟ in particular . However , the absolute control over co-operatives had generated
intense rivalry , leading to factionalism within the party . Thus Baviskar has observed that “At
times rivalry becomes so intense that they are unable to work together in support of the official
party candidates in the election to the (state) Legislature and Zilla Parishad ......... The dissident
faction work frequently against the party even in constituencies known to be the traditional
Congress strongholds”.

The co-operative sector in Maharashtra is equated with a handful of its leaders like late Vasant
Dada Patil , Shankarrao Mohite –Patil , Balasaheb Vikhe –Patil and a score of „sugar baron‟,as
described by the urban media . Several of them started their „public service‟ career in the
cooperative sector and later switched to political arena . Late Vasantdada Patil provides a classic
example of this type of politician . Till 1967 , Dada Patil was not too actively engaged in politics
although MLA since 1952; became the president of the MPCC in 1967; Deputy Chief Minister in
Naik Government in 1972 and the Chief Minister in 1977. An opposite trend is also visible that
every MLA and MP belonging to the Congress Party wants to have a cooperative sugar factory
or other processing industry within his constituency.

ROYAL COLLEGE OF ARTS –POLITICAL SCIENCE 33


CONCLUSION

Co-operative movement basically an activities with a common goal, co-operation refers to the
formation of non-profit economic enterprises for the benefit of there members. Indian movement
launched the movement with the enactment of the co-operative societies Act 1904. According to
the Act of 1904, the co-operative societies were to be established in every district and were
required to be managed by members on democratic lines. The supreme authority was vested in
the general meeting, which consisted of all the members.

All decisions as to liabilities, loans, investments, interests, etc. were to be adopted at the general
meeting. During the early years of the movement, the societies were financed either by loans
from government or from private persons and deposits made by members. The government loan
up to a certain sum was normally interest free. The village-based agricultural credit societies
started giving loans to deserving members.

Co-operatives in State of Maharashtra have made a tremendous development during the last four
and half decade, several types of co-operative societies stated in Maharashtra with mission to
provide overall services to their members and after all to serve for the nation. In order to
development the socio-economic conditions of the rural society‟s co-operatives have no
challenge.

It is government sponsored co-operative movement which is opposite to the European movement


where people themselves got mobilized and organizationally defend and promote their specific
interests. However, co-operatives have spread over all in each and every type of services which
are necessary for a common man especially contributed a lot in the uplift of the rural people. Yet,
it is observed that there are some weakness and some obstacles in co-operative movement,
therefore, the movement is working only on the spirit of the people and this will give strength to
people to overcome on any challenge.

ROYAL COLLEGE OF ARTS –POLITICAL SCIENCE 34


It is evident that Cooperative societies were created long before with the intention for the fair
trade movement to help workers improving their livelihoods. India since the country's
independence from Britain in 1947 has observed a huge growth in Cooperative societies serving
mainly the farming sector.

For example, most of the sugar production in India takes place at mills owned by local
cooperative societies. The members of the society include all farmers, small and large, supplying
sugarcane to the mill. Over the last fifty years, the local sugar mills have played a crucial part in
economic growth of our country.

ROYAL COLLEGE OF ARTS –POLITICAL SCIENCE 35


REFERENCES

 https://www.slideshare.net/sawatiyadav/4-coop-movement-in-maharashtra.
 https://journals.openedition.org/samaj/2784
 https://journals.sagepub.com/doi/abs/10.1177/1940161216673196
 http://shodhganga.inflibnet.ac.in/bitstream/10603/46965/1/niraj%20kumar%20final%20t
hesis.pdf
 https://www.google.com/search?q=ijrcm-2-Cvol-2_issue-7_art-
6&rlz=1C1CHBD_enIN811IN811&oq=ijrcm-2-Cvol-2_issue-7_art-
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ROYAL COLLEGE OF ARTS –POLITICAL SCIENCE 36

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